Error: Embedded data could not be displayed.

The Coming Great Recession, Brought to You by the Healthcare Cartel

December 1, 2015

So what happens when an insatiable state-mandated cartel attaches itself to households with declining real incomes?

Why the coming Great Recession is brought to you by the Healthcare Cartel is painfully simple: in an era of stagnant household incomes, every additional dollar devoted to rising healthcare insurance, outrageously unaffordable medications and soaring co-pays is one less dollar that's available to be saved, invested or spent on something other than healthcare.

Recent headlines tell the story: off-patent medications suddenly leap in price, healthcare premiums jump 25+% in a single year, co-pays increase and the deductibles on many insurance plans are so high that the coverage is more phantom than real: if you have to spend $5,000 before your insurance plan pays $1, what value is the coverage?

If the plan costs $5,000 a year, but doesn't pay a dime of expenses until you've spent $5,000, then the plan actually costs $10,000.

No wonder rising healthcare costs are tightly correlated with recessions, as longtime correspondent B.C.'s chart reveals: as healthcare expenses consume more oxygen, the rest of the economy starts gasping for air:

Total healthcare expenditures are generally under-estimated, distorting the full consequences of soaring healthcare:

Adjusted for inflation, healthcare expenditures have risen 55% since 2000:

Compared to our developed-nation competitors, the U.S. spends an inordinate amount of healthcare spending on the elderly. Why? because it's so profitable, and the federal government pays the bills, no questions asked--even when the billing is fraudulent or inflated, or the medications and procedures are needless or even harmful.

So what happens when an insatiable state-mandated cartel attaches itself to households with declining real incomes?

There is less money to spend in the rest of the economy, which stumbles into recession.

Of related interest:

Can Chronic Ill-Health Bring Down Great Nations? Yes It Can, Yes It Will (November 23, 2011)

Get a 15% discount on my new book: A Radically Beneficial World: Automation, Technology and Creating Jobs for All: The Future Belongs to Work That Is Meaningful. The Kindle edition is $8.45 this week, a 15% discount from its list price of $9.95.

The print edition is $25, but there's a $6 discount through my publisher's page for the book: you must use the code JPW86XRB to get the $6 discount. Note this does not include shipping, and requires making the purchase through Createspace.

Here is the link to the book's listing,     Introduction     and Chapter One (free PDF).

"Certainly the author is decades ahead of his time. Humanity will eventually adopt the author's principles written in all of his books. Currently, humanity lives in delusion that the system will continue to serve them. We will see massive changes even in the next decade. Don't waste your money on college--buy the author's books and succeed." Book Reader (via

Recent entries:

The Coming Great Recession, Brought to You by the Healthcare Cartel December 1, 2015

November 2015 entries           all October 2015 entries           2015 Archives           Archives 2005-2014

Discover why I’m looking to retire in a SE Asia luxury resort for $1,200/month.

Contributions/subscriptions are acknowledged in the order received. Your name and email remain confidential and will not be given to any other individual, company or agency. All contributors are listed below in acknowledgement of my gratitude.

Thank you, Spike T. ($100), for your outrageously generous contribution to this site -- I am greatly honored by your steadfast support and readership.


Thank you, Craig H. ($20), for yet another sumptuously generous contribution to this site -- I am greatly honored by your steadfast support and readership.

Automation is upending the global order by eliminating human labor on an unprecedented scale--and the status quo has no solution to this wholesale loss of jobs.

What if we could hit the reset button on the way we create money, work, commerce and community? What if we could design a social economy rather than a merely financial one? These are not idle questions, for technology now enables us to hit that reset button and organize the creation of money, work, commerce and community in new ways.

If we could start from scratch, what would a new system look like? Clearly, we need a system that offers what the current system cannot: meaningful work for all.

This book is the practical blueprint of a new system that offers opportunities for meaningful work and ownership of the sources of prosperity not just to a few, but to everyone.

In this system, every individual has the power to change the system for the betterment of themselves and every other participant. Being at the top of the heap is no longer a prerequisite. Everyone who is powerless in the current arrangement is empowered in the new system. Empowered to not just better themselves and their family, but better their community and the larger community of Planet Earth.

A radically beneficial world beckons—what are we waiting for?     Introduction     Chapter One (free PDF)

Get a Job, Build a Real Career and Defy a Bewildering Economy
(Kindle, $9.95)(print, $17.76)
go to Kindle edition

"Don't give this to a recent grad. Read it when your kids are born and then read it with them around eighth grade."

"Finally a book that gives practical career advice. The author does an excellent job describing the current economic and political system and how this affects employment opportunities. Times have changed dramatically, and will continue to do so faster than ever. I'm glad I stumbled upon this excellent book, and will begin preparing myself accordingly." Joseph

"I want to thank you for creating your book Get a Job. It is rare to find a person with a mind like yours, who can take a holistic systems view of things without being captured by specific perspectives or agendas. Your contribution to humanity is much appreciated." Laura Y.         Test-drive the first section and see for yourself.

Of Two Minds Site Links

home     musings     my books     archives     books/films     policies/disclosures     social media/search     Aphorisms     How to Contribute, Subscribe/Unsubscribe     sites/blogs of interest     original music/songs     Get a Job (book)     contributors       my definition of success       why readers donate/subscribe to Of Two Minds     mobile site (Blogspot)     mobile site (

HUGE GIANT BIG FAT DISCLAIMER: Nothing on this site should be construed as investment advice or guidance. It is not intended as investment advice or guidance, nor is it offered as such.... (read more)

WHY EMAIL TO THIS SITE IS READ BUT MAY NOT BE ACKNOWLEDGED: Regrettably, I am so sorely pressed for time and energy that I am unable to respond to the vast majority of emails. Please know I read all emails, but I can only devote a very limited number of hours to this blog and all correspondence....


Contributors and subscribers enable Of Two Minds to post 275+ free essays annually. It is for this reason they are Heroes and Heroines of New Media. Without your financial support, the free content would disappear for the simple reason that I cannot keep body and soul together on my meager book sales alone.

SPECIAL APPEAL TO READERS OF OFTWOMINDS from longtime correspondent Cheryl A.:

I don't recall exactly how I discovered Of Two Minds in late 2005, but it is hard to express how grateful I am that I did. As a result of the insight I have gained from the information Charles has shared over these past 9 years, I have been able to navigate this turbulent period much more successfully than most of my acquaintances. I'm sure that those of you who visit OTM with any regularity have similarly benefitted in numerous ways.

The addition of the weekly musings has been an extra bonus for supporters that has provided further insight into the markets, as well as the world around us (often providing a much needed smile).

I have no doubt that those who generously contribute to this site recognize the value that it offers. I hope that those of you who visit, but have not yet contributed, will consider doing so. Your support is essential in helping to maintain such an important resource.

10/20/14 P.S. Over a year ago, Charles wrote about the coming rise in the dollar, a story that is just now gaining traction in the mainstream media. He was also early to recognize that the price of oil was going to fall. For readers who want foresight into where we are headed, these are further examples of why Charles deserves your support.

Thank you, Cheryl, for this vote of confidence. I can only promise that I will continue to do my best.

"This guy is THE leading visionary on reality. He routinely discusses things which no one else has talked about, yet, turn out to be quite relevant months later."
--Walt Howard, commenting about CHS on another blog.

"You shine a bright and piercing light out into an ever-darkening world."
Jeremy Beck

Or send coins, stamps or quatloos via mail--please request P.O. Box address.

Contributions in any amount are greatly appreciated.

Subscriptions to the Weekly Musings Reports

Subscribers ($5/mo) and those who have contributed $50 or more annually (or made multiple contributions totalling $50 or more) receive weekly exclusive Musings Reports via email ($50/year is about 96 cents a week).

Each weekly Musings Report offers six features:
1. Exclusive essay on a diverse range of topics
2. Summary of the blog this week
3. Best thing that happened to me this week
4. Market Musings--commentary on the economy & global markets
5. From Left Field (a limited selection of interesting links)

At readers' request, there is also a $10/month subscription option. (Everyone at the $10/month rate has the opportunity to add another person to the Musings email list for free.)

What subscribers are saying about the Musings (Musings samples here):

"What makes you a channel worth paying for? It's actually pretty simple - you possess a clarity of thought that most of us can only dream of, and a perspective that allows you to focus on the truth with laser-like precision." Jim S.

The "unsubscribe" link is for when you find the usual drivel here insufferable.

How to Contribute, Subscribe/Unsubscribe to Of Two Minds


PayPal and Dwolla members can also subscribe to the weekly Musings Reports with a one-time $50 payment: please email me if you use Dwolla, as Dwolla does not provide me with your email.

Extra-Special Bonus Aphorisms:

"There is no security on this earth; there is only opportunity."
(Douglas MacArthur)

"We are what we repeatedly do." (Aristotle)

"Do the thing and you shall have the power." (Ralph Waldo Emerson)

"Any intelligent fool can make things bigger, more complex, and more violent. It takes a touch of genius and a lot of courage to move in the opposite direction." (E.F. Schumacher, via Tom R.)

"He who will not risk cannot win." (John Paul Jones)

"When we drink coffee, ideas march in like the army." (Honore de Balzac)

"Progress is not possible without deviation." (Frank Zappa, via Richard Metzger)

"Victory favors those who take pains." (amat victoria curam)

"The man who has a garden and a library has everything." (Cicero, via Lee Bentley)

"A healthy homecooked family meal and a home garden are revolutionary acts." (CHS)

"Do you know what amazes me more than anything else? The impotence of force to organize anything." (Napoleon Bonaparte)

"The way of the Tao is reversal" Or "Reversal is the movement of Tao." (Lao Tzu)

"Chance favours the prepared mind." (Louis Pasteur)

"Success consists of going from failure to failure without loss of enthusiasm." (Winston Churchill)

"Where there is ruin, there is hope for treasures." (Rumi)

"The realm of gratitude is boundless." (CHS, 11/25/15)

click here for more Extra-Special Bonus Aphorisms.


Heroes and Heroines of New Media

Outrageously Generous Supporters

Into this category fall those kind contributors who not only overlook the peculiar mix of topics and inconsistent quality of the site but who have perversely chosen to reward this anachronism with contributions of $100 or more.

Astoundingly Generous Supporters

Into this category fall those kind contributors who are so insanely generous that they have supported the site with contributions of $200 or more.

Thank you all for your ongoing support and encouragement.

Of Two Minds subscribers and contributors

Error: Embedded data could not be displayed.

Terms of Service:
All content on this blog is provided by Trewe LLC for informational purposes only. The owner of this blog makes no representations as to the accuracy or completeness of any information on this site or found by following any link on this site. The owner will not be liable for any errors or omissions in this information nor for the availability of this information. The owner will not be liable for any losses, injuries, or damages from the display or use of this information. These terms and conditions of use are subject to change at anytime and without notice.

Our Privacy Policy:
Correspondents' email is strictly confidential. The third-party advertising placed by Adsense, Investing Channel and/or other ad networks may collect information for ad targeting. Links for commercial sites are paid advertisements. Blog links on the site are posted at my discretion.

Regarding Cookies:
This site does not collect digital data from visitors or distribute cookies. Advertisements served by third-party advertising networks such as Adsense and Investing Channel may use cookies or collect information from visitors for ad targeting; if you have privacy concerns relating to advertisements, please contact the advertisers directly.

Our Commission Policy:
Though I earn a small commission on books and gift certificates and gold (BullionVault) purchased via links on my site, I receive no fees or compensation for any other non-advertising links or content posted on my site.

    home     email me (no promise of response, sorry, here's why)     mirror site